How the VWAP Indicator Works

Volume-Weighted Fair Value Benchmark

VWAP (Volume Weighted Average Price) is a benchmark that weights price by traded volume. Traders use it as a proxy for fair value and to spot mean reversion opportunities. In practice, VWAP helps you understand whether price is trading at a premium or discount relative to where most volume occurred.

Signal Logic: Reclaim vs Rejection

Long setups often appear when price reclaims VWAP with improving volume (buyers regaining control). Short setups often appear when price breaks below VWAP and fails to reclaim it (sellers in control). VWAP is especially useful in range-bound conditions and as an intraday trend filter.

Multi-Timeframe Confirmation (15m, 1h, 4h, 1d)

Lower timeframes help identify early reclaim/rejection events, while higher timeframes provide regime context. A robust VWAP strategy often confirms the setup across at least two timeframes before scaling risk.

Professional Workflow: Filter, Screen, Validate

Combine VWAP with the indicator filter and the crypto screener for multi-indicator confirmation. Validate macro context using market status, and compare candidates using Compare. For trend and momentum confirmation, cross-check Supertrend, MACD, and RSI.

Key Features:
  • Volume-weighted price analysis
  • Multi-timeframe screening (15m, 1h, 4h, 1d)
  • Fast symbol search
  • Professional trading signals

VWAP FAQ

VWAP is a volume-weighted benchmark that represents fair value. Traders use it to evaluate whether price is extended, to find mean-reversion setups, and to gauge institutional positioning relative to where most volume traded.

A common bullish setup is when price reclaims VWAP with improving volume. A common bearish setup is when price rejects VWAP and stays below it. Confirm signals across multiple timeframes for higher reliability.

Yes. Combine VWAP with the indicator filter and crypto screener, and use market status for macro context.
VWAP Signals Overview
15m Timeframe
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1h Timeframe
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4h Timeframe
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1d Timeframe
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VWAP Signals - 15m Timeframe
Symbol Signal Price VWAP Distance % Found Time
Loading VWAP signals...